Hong Kong Trade Development Council in cooperation with The
Hong Kong Exporters' Association

Sponsors:

Federation of Hong Kong Industries
Trade & Industry Department, HKSAR Government
The Chinese General Chamber of Commerce, Hong Kong
The Chinese Manufacturers Assn of Hong Kong
The Hong Kong General Chamber of Commerce
The Indian Chamber of Commerce, Hong Kong

Admission:

Trade visitors only. Individuals younger than 18 years will
not be admitted.

Gifts Galore As Traders Pack Fair Venue To Near Capacity

Visitors
to the 2002 edition of the Hong Kong Gifts and Premium Fair can look forward
to increased zoning and an enhanced product range, with such new categories
as picture and photo frames, watches and clocks and toys and sporting goods.

ASIA'S largest event of its kind (and the world's third largest), the Hong
Kong Gifts and Premium Fair will take place for the second time from 23-26 April
at the Hong Kong Convention and Exhibition Centre.

Overwhelming demand for booth space forced the organizer, the Hong Kong Trade
Development Council (TDC), to rethink the formats of the former long-time Hong
Kong Gifts and Houseware Fair and the Hong Kong Premium Show. This resulted
in pairing gifts and premiums in one show while household products went solo.

Held on consecutive weeks last April, the two new events attracted a record
78,285 visitors. Of these, 51,553 visitors attended the Gifts and Premium Fair
to see displays from 2,842 exhibitors representing 34 countries and regions.
More than 54% of the buyers (27,933 visitors) came from outside Hong Kong.

From the
various seminars on offer to product and packaging design exhibits, the
Hong Kong Gifts and Premium Fair is about giving added value to traders
in the industry. Watch for the updated schedules of daily activities.

"Fair visitors should watch for more new sectors featured this year,"
Chick says.

New products are a major attraction in all categories. "Hong Kong people
have their fingers firmly on the pulse of international market trends. Because
of this, we can look forward not only to seeing many new items on display but
also to seeing product enhancements," says fair organizing committee chairman
Jeffrey Lam.

Exhibitors like Alan Leech, manager of the UK's Export Council for British Jewellery
and Giftware Federation, were very satisfied with the 2001 show. "The main
reason we participate is because this fair is so international. Attending the
Hong Kong fair gives companies opportunities to broaden their customer base
in the Asia-Pacific region," says Leech.

Lions
dance, magicians dazzle and birthdays are celebrated - at the Hong Kong
Gifts and Premium Fair, participants are invited to enjoy some downtime
during appointment-packed days.

Dry De Fashion Pvt from India, a first-time exhibitor in 2001, declared the
effort worthwhile. "Generally, we display in India, but not all buyers
go there - Hong Kong is the strategic place," says director Brajesh Gutgutiahe.

"There are so many international buyers from places like Australia and
South Africa. We make good contacts in Hong Kong so we can do good business
in the future."

A task force of trade associations and a legal adviser will again be on site
to handle complaints about infringements of intellectual property rights (IPR).
British company Trade plus Aid says its new designs were successfully protected
through the IPR facilities in 2001. "There is no question that the IPR
facility and the support to exhibitors offered by TDC are the best in the world,"
says director Charlotte di Vita.

The Hall
of Fine Designs, with its high-quality designer products and branded goods,
will once again appear.

Hong Kong manufacturers have developed an array of gift and premium products,
ranging from price-competitive promotional items to middle- and high-end gifts.
While Hong Kong's main expertise has been in manufacturing and product design,
Lam says this may change with the Chinese mainland's entry to the World Trade
Organization.

"Overseas firms know they cannot maintain an office in every large Chinese
city. They will want help sourcing products from the mainland market. They trust
Hong Kong buyers because we have many years of experience in dealing with the
mainland. This dimension should make for a lively and exciting fair," Lam
says.

WRITTEN BY CAROLINE BIEBUYCK

Entertainment Plus

The programme promises to be as varied as last year's line-up, which featured
jazz performances, lion dances and Chinese aerobics. Special events, including
product preview showcases, enabled exhibitors to more effectively promote individual
items to thousands of trade buyers. Another popular attraction is a cyber-appointment-booking
service on the fair Web site to strengthen communication links between buyers
and exhibitors.

Once more, a fair survey will be conducted. "Exhibitors and buyers will
be interviewed to gather views on product trends, market trends and the general
market outlook," Chick says. Research findings will be released on the
fair's final day.

The Hall of Fine Designs, introduced last year, will reappear. This attraction
showcases designer products and branded goods. "The exhibits are unique
collections of a high standard covering a range of categories," says Chick.
The hall will include exhibitors providing product-design services.

More Action Online

The fair Web site http://hkgiftspremiumfair.com
allows visitors to pre-register, access an online newsletter, look into
sightseeing programmes and find other useful information.

A WEB site for the Hong Kong Gifts and Premium Fair 2002 offers features to
help exhibitors or visitors plan and maximize the value of their time at the
event.

Through the site, exhibitors can access information about the booths and raw
space available, including details like size, facilities and fees. They can
download details about various advertising plans.

The Web site can help with stand-administration issues, provide contact information
for useful third parties like stand contractors and mobile-phone service providers.
It also lists special accommodation rates offered by value-for-money hotels.

Buyers can avoid queues by pre-registering online, and exhibitors can download
registration applications. An online newsletter for buyers and visitors will
appear nearer the fair date.

New this year are details about sightseeing programmes to take place during
the three-day pause between the Hong Kong Houseware Fair and the Hong Kong Gifts
and Premium Fair. There are day tours around Hong Kong and various short breaks
to the Chinese mainland lasting 1-4 days.

Notes:
Please mention the Hong Kong Gifts & Premium Fair to enjoy the special room
rate.Free buyer registration for the fair is available.Rooms are available on a first-come-first-served basis.* Free shuttle bus service available to the fairground
# Complimentary breakfast available

Enhanced Favourites In Vogue

Gift-sourcing
has never been easier, with manufacturers doing their best to offer more
new features, colour changes and technological add-ons to this year's offerings.

BUYERS always look forward to seeing new products at any trade fair, and the
Hong Kong Gifts and Premium Fair 2002 is no exception.

Although the market is slower than a year ago, the innovation process is far
from stalled. Indeed, fair organizing committee chairman Jeffrey Lam believes
suppliers are trying even harder to produce new ideas, if not necessarily entirely
new products.

"Manufacturers are moving towards combining ideas to enhance current products
with new features. This means blending hi-tech with traditional processes and
creating improved versions of old favourites," Lam says.

The key to success in the gifts and premiums market lies in knowing how to make
a successful product even more attractive. "That's why I think we will
see new features, like more colour changes and technological features on products
this year," Lam adds.

"Hong Kong people travel widely, and they have a good idea of what markets
expect. Product enhancement is something we think about every day, and we anticipate
seeing the results at the fair."

Demonstrating the process are companies like John Mfg Ltd, which makes advertising
gifts, mainly for sale to the US, Europe and Eastern Europe. Since these products
have short shelf lives, new lines are developed each month. Among the current
favourites are lanterns and durable household products like computer cleaning
cloths.

The economic downturn has created pressure in several ways. Lead times have
shortened. "Whereas we normally deliver in 45 days, now we must get products
ready, including the customer's own packaging, in 25 to 30 days," says
John Mfg Ltd's marketing manager Kaman Wong.

Traders
in the know are discovering how important licensing is in the giftware industry.
The fair will once again feature a licensing conference at which international
experts will present their analysis of licensing opportunities.

The company's tactic is to slice small amounts of time off the design, printing
and manufacturing stages. "Everything has to be well planned, and we must
handle each project carefully," Wong says.

Another pressure is on quality. Customers will negotiate on quality before turning
to price.

With its booth layout finalized, John Mfg is deciding on the display. Possibilities
include items from its lanterns range and more hi-tech products like computer
lights.

"We want to concentrate on colourful products and brand logos. Final decisions
will depend on our customer trends and general market trends," Wong says.

One Heart has worked on improving its market position by emphasizing not only
competitive prices but also quality service and design. "These things are
always important, particularly now," Lo says.

The company's most regular lines include greetings cards and paper gift bags.
There is a big shift to recycled paper and hand-made items, a trend that should
continue.

New product
categories such as picture and photo frames and watches and clocks make
it easier for buyers to source for their target markets.

Pro Eton (HK) Co Ltd operates at the high end of the stationery market. In
addition to its own-brand pens and other writing instruments, it manufactures
pens under license and produces other desktop items.

Director Veronica Ming Yueh says that since the company specializes in certain
branded products, it plans to focus on current lines. "We emphasize that
we can deliver better quality and good service. In these times, you need to
look at the added value you can give your customers," she says.

Ming Yueh says the upcoming fair is an ideal opportunity to show buyers its
brands. "We will show our ranges of pens, writing instruments and equipment
for pen upgrades. We see the fair as a chance to promote what we do best,"
Ming Yueh says.

Lam agrees that 2002 may not be an easy year for manufacturers or buyers. Fortunately,
he has some advice. "Manufacturers should concentrate on producing good-looking
products while keeping prices firmly under control. Buyers will look for competitive
prices, but at the same time will want quality maintained, if not enhanced,"
he says.

Lam forecasts a slow start to the year, but urges manufacturers to prepare for
quick shifts in customers' positions. "They reduce their lead times to
prepare for quick orders," says Lam.

On a lighter note, Lam suggests that if people are keen on market projections,
"maybe they can buy a crystal ball at the fair".

WRITTEN BY CAROLINE BIEBUYCK

International Flavours

WHILE serving as a showcase for Hong Kong-based exhibitors, the Hong Kong Gifts
and Premium Fair allows both large and small overseas suppliers to display new
creations to international buyers.
Visitors to the 2002 fair can anticipate group pavilions representing Australia,
the Chinese mainland, Germany, India, Indonesia, Italy, Korea, Macau, Malaysia,
the Philippines, Singapore, Taiwan, Thailand and the UK.
Among the attractions are:

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